The United States adopted " special protection " on Chinese tires, which directly caused 12% of Chinese tires to have excess capacity. At the same time, the United States imported tires have not fallen, and the average import price has risen by 25 US dollars per article. From an economic point of view, two losses. The United States is also conscious of adopting special safeguard measures, knowing that its own interests have been damaged, and political considerations are greater than economic considerations. Under the favorable background that China has become the world’s largest producer of automobiles, China’s tire industry must shift from export-oriented to domestic demand-driven and take the initiative into its own hands.

On September 26, 2012, a three-year period of US-China Tire Special Safeguards expired, bringing a glimmer of hope to Chinese tire companies.

Three years ago, U.S. President Obama, who was appointed as the new fireman, threw the trading big stick into the Chinese tire industry. Starting in 2009, he imposed a 35% tariff on passenger cars and light truck tires imported from China. 30% for the levy and 25% for the third year, making domestic tire companies and the entire industry miserable.

Regarding the expiry of the special security case, relevant persons all thought that this was a good news for the tire industry. However, this does not mean that the Chinese tire industry can greet spring. On the one hand, as the U.S. general election approaches, China will inevitably be the target of its crackdown. On the other hand, as the second largest market for China's tire exports, Europe will also undergo major changes. From November onwards, the EU's labeling law will be formally implemented, while almost half of China’s Tires can not meet the requirements of the labeling law.

The United States harms others

On June 29, 2009, the US International Trade Commission proposed to impose special tariffs on China's passenger-car and light truck tires for three consecutive years. On September 11th of the same year, with the approval of President Barack Obama, passenger car and light truck tires that were exported to the United States were punished by 35%, 30% and 25% respectively for three consecutive years.

All along, the United States is the largest exporter of Chinese tires, so the three years for the Chinese tire industry can be described as suffering. According to the data, China’s tire exports to the United States declined to 31 million and 27.3 million in 2010 and 2011, respectively, and punitive tariffs have caused tire companies to lose almost all their profits.

"Although our company's products are not within the scope of the special security case, but the special security case has a personal feeling for the negative impact of the Chinese tire industry." Yesterday, in an interview with the "International Finance" reporter telephone interview, Fengshen Tire Secretary Han Faqiang said.

However, "special protection" also failed to benefit US employment and businesses. According to the official statistics of the US Bureau of Labor Statistics, from the aspect of employment, first of all, the number of industrial jobs in the United States, and the number of domestic hired workers of US tire manufacturers in 2010 and 2011 were 5,1600 and 51,700 respectively, while the number of employed persons in 2009 was It is 55,000 people. Therefore, after the implementation of special insurance, the number of employees did not increase, but decreased.

In addition, from the perspective of importation of passenger car/light truck tires, after the introduction of the special security case, exports of tires in mainland China fell 23.6% and 29.6% in 2010 and 2011, while the U.S. imports continued to increase during the same period. In 2003, imports from Canada and Japan increased by 30% and 44%. Import growth from South Korea, Indonesia, Thailand, and Mexico exceeded 100%. Imports from Taiwan increased by even 285%, and these countries and regions The average price of tires is higher than that of mainland China, which is about US$25 per article. Therefore, during the three-year period of the special security case, American consumers did not benefit. The real beneficiaries are exporters from Asian countries and Mexico.

European test will come

Industry analysts believe that after the expiration of the special security case, the profit of exporting US tires can increase by at least 5%-10%, and the US market order will increase greatly. It is estimated that in 2013, its tire exports to the United States will return to 2008. 70% of the year.

Yang Nan, a manager of management consulting, also believes that regaining the price advantage will help China's tire products get back some of the lost market share.

However, Yang Nan emphasized that near the U.S. presidential election, in the election year for political interest considerations, relations with China are often pushed to the cusp of turbulence. Bipartisan candidates are usually in order to cater to the protectionist strength of domestic trade and have a significant impact on the election situation. Forced trade union organizations, etc., selected controversial industries to open fire in China. This phenomenon should not be avoided during this year's election year.

Just on September 17, the Obama administration has submitted a dispute resolution consultation request to the World Trade Organization on China’s subsidy policy for exporters of automobiles and auto parts.

"The government will accuse China of export subsidies for automobiles and auto parts. China's subsidy measures have directly affected job opportunities in Ohio, Michigan, and the central and western regions of the United States. We cannot allow this to continue," Obama said.

In addition, another trouble is that on November 1, as the second largest market for Chinese tire exports, Europe will formally implement the labeling method. That is, the requirement to sell tires in the European Union must be labelled to indicate fuel efficiency, wet road grip, and road noise level. The industry also calls them "green labels." It is understood that half of the tires produced in China cannot meet the "green label" standard.

PP Honeycomb Core Panel

YANGZHOU MAXTONE COMPOSITE CO.,LTD. , https://www.maxtonetruckbody.com